The centre-left prime minister did not detail what Customs Minister Meka Whaitiri did during an incident last month, but said an internal government report into the matter convinced her the minister needed to go.
"Based on the context and conclusions of the report, I no longer have confidence in Meka Whaitiri as a minister at this time," she said.
Unconfirmed media reports said Whaitiri was accused of bullying after becoming involved in a physical altercation with a press secretary who had just started working for her.
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